- Delivered strong organic NSR growth across both the Americas and International segments
- Margins expanded to a new high for a second quarter, resulting in highly profitable growth
- Total design backlog increased by 12% with record quarterly wins; both design backlog and total backlog achieved record highs
- Secular growth drivers are accelerating and the Company’s pipeline is at a record level
- Reiterated all key financial guidance for fiscal 2023 and all fiscal 2024 financial targets
DALLAS — (BUSINESS WIRE) — May 8, 2023 — AECOM (NYSE: ACM), the world’s trusted infrastructure consulting firm, today reported second quarter fiscal 2023 results.
|
Second Quarter Fiscal 2023 |
||||
(from Continuing Operations; $ in millions, except EPS) |
As Reported |
Adjusted1 (Non-GAAP) |
As Reported YoY % Change |
AdjustedYoY % Change |
|
Revenue |
$3,490 |
-- |
9% |
-- |
|
Net Service Revenue (NSR)2 |
-- |
$1,679 |
-- |
7% |
|
Operating Income |
$197 |
$212 |
77% |
12% |
|
Segment Operating Margin3 (NSR) |
-- |
14.5% |
-- |
+60 bps |
|
Net Income |
$118 |
$128 |
141% |
9% |
|
EPS (Fully Diluted) |
$0.84 |
$0.92 |
147% |
11% |
|
EBITDA4 |
-- |
$244 |
-- |
10% |
|
Operating Cash Flow |
$11 |
-- |
NM |
-- |
|
Free Cash Flow5 |
-- |
($21) |
-- |
NM |
|
Second Quarter Fiscal 2023 Highlights
- Revenue increased 9% to $3.5 billion, operating income increased 77% to $197 million, the operating margin increased 220 basis points to 5.7%, net income increased 141% to $118 million and diluted earnings per share increased 147% to $0.84.
- Organic net service revenue2 increased by 8% in the design business, with continued strong growth across all major markets.
-
Total design backlog increased by 12%6 to a new record high, driven by record quarterly wins and a 1.5 book-to-burn ratio7; total backlog also achieved a record high.
- Importantly, the Company’s focus on winning what matters to transform long-term earnings power resulted in a record win rate and record level of proposals and bids submitted.
- The design win rate reached a new high, including more than doubling the share of trailing twelve-month design wins valued at greater than $25 million over the last few years, which has enhanced visibility and long-term earnings power.
-
The segment adjusted1 operating margin3 increased by 60 basis points to 14.5%.
- The benefits of ongoing operational efficiency initiatives and focused allocation of time and capital on high-returning opportunities have enabled increased investment to further extend the Company’s competitive advantage.
-
Adjusted1 EBITDA4 increased 10% to a new quarterly high and adjusted1 EPS increased 11%, reflecting the continued high quality and highly profitable nature of the Company’s record wins and backlog.
- On a constant-currency basis, adjusted 1 EBITDA 4 increased 14%.
